COLUMBUS, Ohio -- An investigation by the U.S. Department of Labor’s Wage and Hour Division has determined that McLean, Va.-based The CFP Group Inc. failed to pay $55,186 in prevailing wage rates, fringe benefits, minimum wage and overtime to 11 workers in violation of the Davis-Bacon and Related Acts, the Contract Work Hours and Safety Standards Act and the Fair Labor Standards Act. The workers installed and modified fire alarm and sprinkler systems at the Joseph P. Kinneary U.S. Courthouse in Columbus between October 2012 and September 2013.

“Government contracts include specific requirements regarding pay and benefits, and employers are required to follow these rules, so workers are paid correctly,” said George Victory, the Wage and Hour Division’s director in Columbus. “Contractors should be well aware of these obligations when they bid for these jobs and when contracts are awarded. Taxpayers have a right to expect that federal contractors, who are paid with tax dollars, will comply with the law.”

The department filed a lawsuit in the U.S. District Court in Columbus against The CFP Group and its owner, Roberto Clark, alleging violations of the FLSA’s minimum wage and overtime provisions. Investigators from the division’s Columbus District Office found that $19,190 in unpaid wages is due to three employees for time worked that the employer failed to pay for and record. The lawsuit also seeks an equal amount in liquidated damages and to enjoin the defendants from violating the FLSA in the future. Investigators also found that $35,996 in unpaid prevailing wages and fringe benefits is due to nine workers on the same project for violations of the DBRA and the CWHSSA. The amount due to these employees is being withheld from payments due to The CFP Group.

The CFP Group violated the DBRA by failing to pay prevailing wage rates and allowing premiums for fringe benefits, including health insurance, to lapse. This resulted in at least one worker incurring nearly $6,000 in medical bills. The company also failed to maintain and submit accurate, certified payroll records. The DBRA requires all contractors and subcontractors performing work on federal and certain federally funded projects to pay their laborers and mechanics the prevailing wage rates and fringe benefits, keep accurate records of hours and pay, and submit and certify payrolls.

The company violated the CWHSSA by failing to pay legally required overtime at time and one-half the employees’ rate for all hours worked over 40 in a workweek. Additional information on labor provisions and enforcement of government contracts is available at http://www.dol.gov/whd/govcontracts/.

The FLSA requires that covered employees be paid at least the federal minimum wage of $7.25 for all hours worked, plus time and one-half their regular rates, including commissions, bonuses and incentive pay, for hours worked beyond 40 per week. In general, hours worked includes all time an employee must be on duty, or on the employer’s premises or at any other prescribed place of work, from the beginning of the first principal work activity to the end of the last principal activity of the workday. Additionally, the law requires that accurate records of employees’ wages, hours and other conditions of employment be maintained. The law also prohibits employers from discharging or discriminating against an employee for filing a complaint or for cooperating with an investigation.

For more information about federal wage laws, call the Wage and Hour Division’s toll-free helpline at 866-4US-WAGE (487-9243). Information is also available at http://www.dol.gov/whd.

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